Welfare Reform and Work Bill

Baroness Howarth of Breckland Excerpts

Tuesday 9th February 2016 Lords Chamber

[Lord Mackay of Clashfern (Con)]

My Lords, I join those who have congratulated the Minister on recognising the special needs of this particularly deserving group. I also congratulate those who have brought these matters to his attention. I feel that this demonstrates very clearly that, when a good argument is put forward, it will be listened to.

[Baroness Howarth of Breckland (CB)]

My Lords, I am sorry that I cannot join totally in the congratulations, although obviously the noble Baronesses, Lady Pitkeathley and Lady Hollis, have achieved great things. However, the noble and learned Baroness, Lady Butler-Sloss, and I were very keen that those adopters of difficult children who join their families should also be excluded from the cap. In his reply, the Minister accepted that, where sibling groups were adopted, that would be an exclusion, but where there was one child, his words were, I think, that they would be not unlike any other family.

I suggest to the Minister that any adopted child is not like any other family. Children in care who are going to be adopted are not sweetness and light on the whole. They have had very difficult childhoods and are going to need extraordinary care. I express my disappointment. We have written to him to say that we are disappointed that adopted children have not been included in the list. Having said that, I am extremely grateful for those who are.

[Baroness Sherlock (Lab)]

My Lords, I, too, thank the Government for the concessions that they have made, and I share the view expressed by the noble and learned Lord, Lord Mackay of Clashfern, that, on this occasion, when a good argument was mounted, it was listened to. However, I say to the Minister that, if he liked those, I have plenty more where they came from, so I look forward to future useful conversations. I also promise him no vituperation at all. Perhaps he will permit me a mild sulk when I come to the third of his amendments, but I promise to be gentle about it.

I welcome wholeheartedly the decision to exempt all those in receipt in carer’s allowance and also to go a step further and not just to exempt guardian’s allowance, as had been hinted at at a previous stage, but in fact to exempt all households containing someone claiming guardian’s allowance. That is a generous response to the pressure from this House. In particular, I pay tribute to my noble friend Lady Pitkeathley for all the work she has done on carers, of whom she is such a tireless champion, and to my noble friend Lady Drake for emphasising the position of carers of different kinds.

I have certainly raised the question of guardian’s allowance to precisely no effect whatever, but when my noble friend Lady Hollis gave a speech and made a report, the Minister ran the white flag up the flagpole at once, and said, “I now know how to deal in future with matters on which I have good arguments.” I commend him for having listened carefully to that one.

The question on which I am still a little unhappy is related to government Amendment 3, raised by the noble Lord, Lord Kirkwood. As the Minister said, I pushed on this on Report, and I would have brought another amendment back, had I been permitted, but I am afraid the Companion does not allow me to do it. I am glad the Minister has explained why the Government took the view to accept only in part the recommendation made by the Delegated Powers and Regulatory Reform Committee. However, I think it is worth while reminding ourselves that the committee could not have been much stronger. It actually said that it considered it inappropriate,

“for this Bill to confer the highly significant regulation-making powers in Clauses 7 and 8 without the application of the SSAC scrutiny requirement”.

When the Government decided not to accept that in full, that is quite a strong statement. It is worth remembering why. Although the benefit cap is a matter for Parliament, all regulations are a matter for Parliament. All that happens is that they go there via an expert Social Security Advisory Committee which will then give advice to us and to Ministers about the way in which the Government should proceed. The Executive are entirely at liberty to ignore that advice and to press ahead, but they really ought to listen.

The reason that the level of the cap is important is that it is not just a matter for the economy. For example, it would be perfectly possible for a Minister to bring forward regulations saying the cap should be set at £500 a year. I am not suggesting they would, but they could. In doing so, that would render completely pointless the entire array of social security legislation, specifying the entitlement people have to a range of benefits by simply saying, “You may be entitled to all of those—however, anything over £500 we just will not give you”. I am not suggesting the Government would do it, but that is an extraordinarily important power, and therefore a very good reason that the SSAC should have been invited to use its powers in scrutinising it before the Government were able to go ahead and do it. However, all I can do at this point, as I say, is sulk mildly, register my disappointment and urge the Government to go away and think again, because I would not want to break the mood of general congratulation, in which I share.

I take the opportunity to ask the Minister a couple of practical questions. He mentioned that the Government will be bringing regulations back later in the year to legislate for those parts of the concessions that are not covered by the amendments today. He has explained he would do that in relation to the amendments on the benefit cap. Will the Minister also tell the House when and how the Government will legislate to deal with their concessions in relation to the two-child policy for kinship carers and adoptive carers? I understand that the regulations will be subject to the negative procedure. Is that correct? If so, will he commit to publishing draft regulations before anything is laid in Parliament? A lot of debate has gone on and in the light of that debate and, indeed, in the light of the comment that he made on Report to the right reverend Prelate the Bishop of Portsmouth in relation to domestic violence, it would be helpful to the House if he were willing to offer that.

Welfare Reform and Work Bill

Baroness Howarth of Breckland Excerpts

Wednesday 27th January 2016 Lords Chamber

[Baroness Howarth of Breckland (CB)]

My Lords, I am going to be extremely brief because the arguments have been powerfully made. Because I have supported some of these issues and do support the amendments, I want to make two points.

I hope the Minister is able to come back with better news than we have had hitherto. I am sure that he will have gone back and looked at the issue. He very often says that this is a manifesto commitment and it links to many other Conservative commitments. The present focus of the Conservative Party on the family test and family life fits very much with the arguments that have been made around the House. If he is not able to come back with better news, I would like to ask him two questions. First, how does he see the family test moving forward, considering my colleagues’ arguments about how more secure families are achieved? Secondly, what discussions has he had with his colleagues in other departments, particularly those who are promoting children’s policy issues and pressing forward further adoption, fostering and kinship care? Do they understand this issue? In my discussions with some people in the other place, concern has been expressed that this will undermine some of those strong, clear and positive Conservative Party policy commitments.

[The Lord Bishop of Durham]

My Lords, I would like to tell two stories that illustrate why I believe two of these exemptions are important.

A good friend of mine and his wife were unable to have children, and they put themselves forward as adoptive parents. They went through the rigorous process—this was a few years ago—and with great pride entered a room with several of us who had our own children and presented a piece of paper that said, “I have been authorised to become a parent in a way that none of you ever have”. This was a great joy. They were then asked if they would take three children, because those children had been born to the same mother and had experienced serious abuse living in a home with addiction. The absolute conviction of all concerned was that it was vital that these three children remained together. We, as a society, asked them to care for those children. They took up that responsibility and have exercised it for many years. They have, on our behalf, saved an enormous amount of money through those children not going into care. Also, a much longer-term point is that those children are healthy, well-educated and will be fantastic contributors to society. That is one of the reasons why adoption needs to be exempted.

The second story is of another two friends. When their first child was born, they had to come to terms with a severe disability. They had a second child who was fine and healthy. They chose to have a third child. That child also turned out to be disabled. Under the current proposals, without the exemptions they would not be given any support for that child other than the extra disability support. These are the children and the families we are dealing with in considering these exemptions. I sincerely hope, like others, that the Minister has had time really to consider such situations and has better news for us.

Welfare Reform and Work Bill

Baroness Howarth of Breckland Excerpts

Monday 7th December 2015 Lords Chamber

[Baroness Lister of Burtersett (Lab)]

My Lords, if I were the Minister, I would grasp with alacrity the olive branch—or is it fig leaf?—that was offered by the noble Lord, Lord Kirkwood of Kirkhope. Personally, I oppose the principle of these clauses, but I will talk about that later. I will speak only very briefly now in support of all the amendments in the group. We have heard some very powerful speeches that show the unintended and undesirable social policy consequences of these clauses, which I cannot believe the Government wish to happen. I hope that the Minister will reflect very carefully on these speeches.

At Second Reading, the Minister gave a little hint that, at least on kinship carers, he might be willing to consider an exemption, although I understand that nothing has been taken forward on that. He also said that the Government,

“will look at the important issues around exemption through secondary legislation and will provide more detail in due course”.—[Official Report, 17/11/15; col. 125.]

As well as adding my support to these amendments, I simply want to ask the Minister what he means by “due course”. We really have to have these details before Report. We should not go to Report until we have these details about exemptions.

I remind the Minister that on the previous Welfare Reform Bill the Joint Committee on Human Rights made very clear how important it is that, even if we cannot have the regulations themselves—I can quite understand why that is not possible—from a human rights perspective we should have full details of what will be in the regulations. I hope that, at the very least, the Minister can give us that assurance today and that he will think hard about the arguments that have been made already.

[Baroness Howarth of Breckland (CB)]

My Lords, I want to speak extremely briefly because the speech I might have made has already been made by other noble Lords in terms of detail.

Having listened to the Minister talk in various venues about wanting to ensure that there are no unintended consequences from this legislation, I want him to think carefully on the speeches that have been made and about what basis of philosophy or principle the Government have underlying this legislation. I know the basic tenet is that they want to make sure that parents can work and that all children are able to achieve the best educational outcomes—those are the Government’s own words. But some of these measures will undermine that and take families into greater financial hardship. I am particularly interested in the children, because taking those families into greater financial hardship will reduce the life chances of those children. Those of us who have worked with children down the years have seen the consequences of that, not only the emotional consequences but the financial consequences.

All the arguments around larger families, kinship care, adoption and the very many informal arrangements that families make to ensure that their children are emotionally cared for have been made. Again, I hope that the Minister will reflect on that in the context of his own Government’s policy and objectives.

We are a nation that should care. Indeed, the Minister’s party described itself as a “caring party”. I also admire the Government’s objective of ensuring that children make their own way and are not left in poverty because of parental behaviour. However, we know that you can affect that behaviour, as the noble Baroness, Lady Sherlock, and others have said, by the kind of care that they receive themselves and are able to reflect with their children. Therefore, will the Minister tell us how he intends to ensure that the Government’s philosophy and principles are reflected in the way that they deal with large families, particularly those from disadvantaged groups?

[The Minister of State, Department for Work and Pensions (Lord Freud) (Con)]

I thank noble Lords for some very good speeches. To pick up the point made by the noble Lord, Lord Kirkwood, I have listened to those speeches very carefully, although I am not in a position today to provide much satisfaction as I stand here. Let me begin by setting the context for the policy.

[Lord Freud]

No, it means that I am not in a position to provide any satisfaction and, by definition, that position does not change.

Let me begin by setting the context for the policy, which will remain relevant for the other amendments on these clauses. At the 2015 summer Budget, the Government announced their plans to move from a low-wage, high-tax and high-welfare economy to a higher-wage, lower-tax and lower-welfare society. This is part of the Government’s plan to deliver a new deal for working families, which also includes incentives to ensure that those who are in work are rewarded fairly. As part of this, we announced reforms to child tax credit and universal credit to help put welfare spending back on to a sustainable footing.

The tax credits system has become too generous. As introduced by the last Labour Government, it was originally forecast to cost £11 billion in its first year. In fact, tax credit expenditure more than trebled in real terms between 1999 and 2010; and increased by £9.6 billion in real terms between 2004-05 and 2014-15. Currently, the benefit system adjusts automatically to family size, while many families supporting themselves solely through work do not see their budgets rise in the same way when they have more children. The average number of dependent children in families in the UK in 2012 was 1.7, so the Government feel that it is fair and proportionate to limit additional support provided by the taxpayer through child tax credit and the child element of universal credit to two children.

[Baroness Howarth of Breckland]

My Lords, I am sorry to interrupt the Minister, but may I ask him about the difference between those families who choose to have more children—which I understand, in relation to the policy—and those who find themselves with more children, which saves the state money because of circumstances that have been described today?

Employment

Baroness Howarth of Breckland Excerpts

Thursday 19th November 2015 Lords Chamber

[Baroness Altmann]

I am not entirely sure what figures the noble Lord is referring to, but since 2010 around two-thirds of the rise in employment has been in managerial, professional and associate professional occupations, which generally command a higher wage.

[Baroness Howarth of Breckland (CB)]

My Lords, we know that the poorest families are often working families. While I welcome the Government’s statistics, would it not be useful to know how many of the jobs are part-time—following the noble Lord’s question—how many of them pay a living wage, and what hope there is of these families reaching a point where they are self-sufficient?

[Baroness Altmann]

My Lords, those are indeed important issues but over the year, and since 2010, the majority of employment growth has come from full-time work—up by more than 1.5 million posts since 2010.

Poverty and Social Exclusion

Baroness Howarth of Breckland Excerpts

Thursday 17th July 2014 Lords Chamber

[Lord Freud]

The previous Government put through the Child Poverty Act, which we on this side of the House supported. It is based on some research that comes out regularly on households below average income. That came out last week, and it showed that the proportion of children in relative poverty is at its lowest level since the mid-1980s.

[Baroness Howarth of Breckland (CB)]

My Lords, it is clear that there are more than 1 million children still in poverty, and the relationship between their welfare and their education is well known. Does the Minister not agree that there should be a great deal of focus on young people who are going to find it difficult to pay for expensive school uniforms and trips? Otherwise they will be seen as different from their peers.

[Lord Freud]

The noble Baroness is completely right to concentrate on the fundamental causes of poverty, and working with youngsters is clearly right at the heart of that. That is why this Government have taken so many major steps in this area, including introducing the pupil premium and the early years pupil premium, raising teacher quality, and a number of others. I absolutely endorse her concentration on that area.

Food: Food Banks

Baroness Howarth of Breckland Excerpts

Tuesday 2nd July 2013 Lords Chamber

[Lord Freud]

If that sounded like jargon, I apologise. I meant that food from a food bank—the supply—is a free good, and by definition there is an almost infinite demand for a free good.

[Baroness Howarth of Breckland]

Given that there is so much uncertainty about the figures, the noble Baroness asked whether the Government were going to monitor this. What kind of research or monitoring can the Government undertake to be sure of the figures and the impact of the various factors?

[Lord Freud]

My Lords, as I said, food banks are not part of the welfare system. We have designed our welfare system to support people with advances of benefit where they require it. It is not the job of the DWP to monitor this provision, which is done on a charitable basis.

Marriage (Same Sex Couples) Bill

Baroness Howarth of Breckland Excerpts

Monday 17th June 2013 Lords Chamber

[The Archbishop of York]

My Lords, I apologise for not being here in your Lordships’ House at Second Reading. I thank noble Lords for their greetings on that occasion, when I was recovering from surgery. I am on the mend, although I am not quite there yet. I want to thank especially the noble Baroness, Lady Royall of Blaisdon, for the generous compliments in her speech.

I suggest that this legislation is an exercise in ideological redefinition. The amendments before us today are designed to limit this ideological damage. I will speak to the one amendment that probably does it better than the others. The legislation does not address the concrete disadvantages from which same-sex couples still suffer. It is a matter of deep personal regret and sorrow to me that homosexual people are still diminished, which is anathema to me and to the Primates of the Anglican Communion. In the 2005 Dromantine communiqué, we said that the diminishing of homosexual people is anathema to the Christian faith. However, it still happens, which is a deep regret for me. I want to tell them that I am sorry.

The great difference between this legislation and the reform that introduced civil partnerships is that the latter remedied certain concrete difficulties and disadvantages. What injustice would be remedied by some civil partnerships becoming marriages? That argument of remedying injustices does not seem to carry much weight; the argument lies somewhere else. Ministers of the Crown have argued that the legislation extends to an excluded minority a concrete privilege currently enjoyed by the majority. What is that privilege? The privileges that accompany marriage have already been extended to same-sex couples through civil partnership legislation. However, since marriage has been defined in law and practice as a relationship between a man and woman, marriage, as so defined, cannot in law be extended to same-sex couples.

The draft legislation presupposes an account of marriage that makes the gender of the partners incidental to the institution. This, to me, is a novelty. It does not correspond to marriage as it has been known in British law and society. This is not an extension of something that already exists but the creation of a new institution, under the aegis of existing marriage law, which is in fact quite different from it. We are somewhat ill prepared midwives at the birth of a new social institution. Why not give it a new name?

The interests served by the legislation before us are, I suggest, ideological and aimed at changing the way people think: hence the amendments before us today are rightly geared towards protecting individual freedoms in the face of a radically new ideology. The church shares, in the best traditions of this House, a passion for justice and a deep concern for the particular needs of minorities. These concerns have been met in the provisions of the civil partnership legislation. However, today, the question turns on two other interests of the church: first, an interest in the truthful description of anything; and, secondly, an interest in defending responsible practices of government against the sophistic abuse of language.

It matters that we recognise this as a new social institution. As a Christian, I would argue that being a man or a woman is not incidental to the human relations a person may engage in, but formative of them. In Christian understanding, the meaning of human sexual difference is in the good gift of God in creation. The maleness and femaleness of the human race are given to us. It is where we are placed, in common with the whole human race in every generation. Our role is to be thankful for it and to understand how it helps us to live the human lives that we are given. This task of appreciating our sexual difference weighs equally on married and unmarried, on gay and straight, and on children and adults—on all who have the gift of being human. Christians, in common with Jews and Muslims, understand marriage as essentially representative of this good gift of sexual difference. This understanding flows from an undivided and unbroken tradition that has sought to define the unity of the human race, uniting nations, religions, cultural traditions and periods of history.

In describing marriage as bound up constitutively and generatively with male-female relations, we describe a good form of life for which we can be unreservedly thankful. As with any aspect of creation, our interpretation of marriage is not final. Reality is deeper than its interpretation; there is always more to be learnt. Our thinking may be shaped by artists, working in whatever form, who represent to us some fragment of reality to be recognised. It will be shaped also by scientists, who model complex interactions and observations in formulae that render them intelligible. It may also be shaped by theologians, teaching us to thematise that which artists and scientists have shown within the larger picture of the goodness of God.

The unamended legislation uses the term “marriage” to describe a new entity. For me this entity is worthy in itself, but it is not equivalent to marriage as hitherto described. I have argued that this is not an area for state intervention. The work of government does not lie in teaching us how to interpret and think about reality. Yet we are here. The trouble with this undifferentiated use of the term “marriage” is that it will create confusion on the one hand, and erode freedom of conscience on the other. The amendment of the noble and learned Lord, Lord Mackay, seeks to remedy this. It calls both same-sex marriage and opposite-sex marriage “marriage”.

In contrast, the legislation to create civil partnerships was, for me, a proper exercise in formal terms of the authority of government. That legislation was precise in its use of language. It recognised the intrinsic difference between the loving, life-long commitment of same-sex couples and the loving, life-long commitment of male and female couples in marriage. I respectfully submit that those who sought to extend the scope of civil partnerships beyond same-sex couples would have made the legislation lack legal clarity. Its intention would have been blurred, if not thwarted. Those who resisted the extension of civil partnerships beyond same-sex couples were right, because it would have blurred the entire conversation and the entire discussion.

Without some clearer classification, as suggested in the amendment of the noble and learned Lord, Lord Mackay, we introduce a degree of ambiguity that is not common in law. This cannot help anyone, because Clause 11 still refers to “opposite sex”. We must be very careful about how we arrive at an answer. Responsible government is government under law. A responsible Government must prevent, as far as they can, the judgment that the law is an ass. I believe that fracturing the law of marriage into two alternative concepts of marriage inevitably inflicts damage of very serious proportions on English law, weakening the authority of the law as a whole. This damage can be lessened by the very honest amendment of the noble and learned Lord, Lord Mackay. This amendment seeks clarity and makes an important distinction. If it is accepted, as I sincerely hope it will be, it will go some way towards preserving the integrity of the law. I support the amendment, and I hope the House will have the same view.

[Baroness Howarth of Breckland]

If that was the definition, would the Church of England be prepared to marry couples in church? The great difficulty with civil partnership marriages for Christians—those who love the Lord deeply—is that there is no religious content. From the speeches just made, would the Church of England change its position if the amendment of the noble and learned Lord, Lord Mackay, was agreed?

[The Archbishop of York]

I wish I was speaking on behalf of the Church of England. I am not. I am part of it. The noble Baroness knows as well as I do that decisions about liturgy and constitutions are not the privilege of bishops but of the General Synod of the Church of England. This matter will need to be discussed. Incidentally, I am one of those who has gone on record as saying that had civil partnerships been given enough space, the church would not have escaped the possibility of a conversation. What do you do with people in same-sex relationships who are committed, loving and Christian? Would you rather bless a ship and a tree, and not them? However, that is a big question, to which we are going to come. I am afraid that now is not the moment. We are dealing with the legislation as we have it. I am trying to make it slightly easier to work out what that difference is. Give me time, and one day I may come back and speak on this.

Human Trafficking

Baroness Howarth of Breckland Excerpts

Thursday 21st March 2013 Lords Chamber

[Baroness Stowell of Beeston]

The noble Lord is right. This crime crosses borders and is based on international gangs. In the UK, our law enforcement agencies continue to work with their counterparts overseas on joint investigations to ensure that we tackle this by prevention and not just support people once they are victims of this terrible crime.

[Baroness Howarth of Breckland]

My Lords, as the Minister will know, and as my noble and learned friend Lady Butler-Sloss mentioned, children who are accommodated in care are not made the responsibility of the local authority. When they then go missing, the police often do not follow them up with great astuteness. I have just read in the newspaper that there are to be two categories of missing person for the police. There will be those who have just gone missing and are lost and those who are worth following up. Will the Minister ensure that these children are in the category of those who are worth following up and are the responsibility of a local authority?

Welfare Reform Bill

Baroness Howarth of Breckland Excerpts

Tuesday 31st January 2012 Lords Chamber

[Baroness Finlay of Llandaff]

My Lords, it has been said that the mark of a civilised society is the way that it cares for its most vulnerable. I remind the Minister that the speech of the noble Baroness, Lady Browning, encapsulated the societal burden of a failure to demonstrate that we are a civilised society.

I wish to put some figures on the table which have not been mentioned in the debate to date. The Family Fund is a charity that provides grants to low-income families caring for severely disabled children. In 2010, it had to pay out to a range of families, 64 per cent of whom had a child who was not receiving the higher rate of DLA. Recent figures from the Social Fund found that 69 per cent of families with disabled children are worried about their financial situation, with 61 per cent of those struggling to pay monthly bills and three-quarters believing that the high costs of caring for a disabled child are the cause of their financial situation. Other children in the family will suffer as a result of that, probably disproportionately greatly, because the psychology of a parent caring for a disabled child often dictates that that child becomes a focus of disproportionate attention.

Research by CLIC Sargent found that on average parents spend about £367 on extra expenses a month following a child’s cancer diagnosis and treatment, resulting in an annual spend of about £4,400 for parents of a child with cancer. When these families, whether suddenly or gradually devastated by illness, do not have the money they need with which to pay not for luxuries but very basic things to enable them to provide care for the disabled child, the other children in the family, the health service and society as a whole end up paying a higher price in many domains.

The amendment was eloquently introduced by my noble friend Lady Meacher. I urge the Minister to accept it, thereby removing the need to test the opinion of the House.

[Baroness Howarth of Breckland]

My Lords, I support this amendment, but in so doing I understand the position in which the noble Lord finds himself with a set of sealed envelopes. Like many other noble Lords, I encourage him to go back to the Treasury, or at least to have a look at how the available funding can be properly distributed. After all, this is a compromise. Personally, I would like us not to be in this position at all but rather to ensure that we do not make any cuts, because these are cuts—unlike some of the other reforms—to the budgets of families with disabled children.

I do not want to repeat the eloquent speeches that have already been made but to make three brief and, I hope, slightly different points. First, the Government need to take the long view as regards financial management. If we take the short-term view, we will find that many of these families will fall into even more disarray than they are in already. We should remember that, as has been said—I reinforce this point—the majority of these families are single-parent families looked after by mothers. These are not women who have had a child for some feckless reason, as is often portrayed in the newspapers, but women whose husbands cannot tolerate the pressure of having a disabled child in the household and have simply gone out of the picture—so these women are alone. Often that means that they cannot support their child’s situation, which results in many children going into care. I shall not quote more statistics, but noble Lords know that there are large numbers of disabled children in care at the moment and placing them in foster homes is very difficult; in fact, to get them adopted is almost impossible. The state’s burden of caring for such children is huge; the costs per week of caring for a disabled child can run into thousands. In taking the long view, we have to remember the number of children in care.

My last point is that, as several people have said, if we are a civilised society, we want children to grow up to be active young people and to have a proper transition into adulthood. I declare an interest as the president of Livability, a charity which looks after young people in schools, in colleges and through into adult care. I understand the need for that transition. If we are to do that and if we are to ensure that such families have a proper life, appropriate funding is crucial. Noble Lords may have disabled children but, if you are trying to bring them up on the kind of money that these families have and in the housing conditions and relationship situations of these families, funding is absolutely crucial to underpin the care, love and continuity that these children desperately need. I ask the Minister to look in his envelopes again to see whether there is not some way in which the money can be redistributed to ensure that that does not happen.

[Lord German]

My Lords, I would like to take a little further the arguments, put by the noble Lord, Lord Newton, about where we go with the concerns that have been widely expressed around the House. It is worth reminding noble Lords that the intention expressed by the Minister is not in the Bill before us; that is the subject of future regulations that are to be brought forward. I understand that the purpose behind the amendment is to lock the Minister into a pattern which will remain for many years to come. If you put something into primary legislation, it will be locked there for many years until time is found to change it. I shall return to some of those issues later.

One thing that has not been mentioned is the other cliff edge—my noble friend Lady Thomas mentioned this in her speech—relating to those who are 16 and those who are 17. The cliff edge is enormous. We also have to consider the change in the funding, although it is not the subject of this amendment, but it is the subject of the Minister’s thinking, as expressed to us. Many people see the problem of no continuity for disabled people between the ages of 15, 16 and 17. That is the issue that the Minister is concerned about.

Another related issue is not just the level of payments, but the way in which the payments will be funded over time. Perhaps this House would be better thinking about having a further debate on this or having that discussion during proceedings on regulations. I shall come back to how that might happen in a moment. There are two possible routes out of the problem of the distinct difference in the funding for those who are post-16 and those who are less than 16. I guess that one of the ways might be to create new tiers. There are already three tiers in DLA and there are two tiers for adults. At some stage in the future, a Government—this one or a future Government—might decide that it is essential to have three tiers and they might want to redesignate. Of course, that would be stopped by this amendment.

The second and more purposeful way in which the amendment would not allow change would be as regards transitioning; I do not mean the transitional measures in the Bill, but moving to rectify the enormous cliff edge that occurs at the age of 16. For that to happen, it may well be that a Government of whatever kind would want some form of progress on changing the relationship between post-16 and under-16 provision.

All those things would not be assisted by an amendment that locked into aspic a set of placements between one set of benefits and other, and missed out the other half of this equation, which is not the subject of the amendment. Of course there are concerns about the levels of payment that go into these particular directions. If you forage around the background of these particular payments—they go back to supplementary benefits, and I guess that some noble Lords here will remember how those originated—their purpose was to pay for the additional costs that were not being funded from the disability living allowance system that we now have. Those payments related mainly to items such as energy costs—the costs of extra baths, the need for more heating in the house, extra hot water and so on. Those are very much some of the issues that face the over-16s as well as the under-16s.

We need to have this debate, but need to have it in terms of the absolute flexibility that we can create in the environment between now and when the Minister brings forward his regulations. I am sure that he has listened to what has been said today, and my advice to my noble friend would be to heed the warnings that have been given. Clearly, there are very strong views about how you treat disabled children but, at the same time, I ask noble Lords to consider in the same breath the plight of those over 16 and to think about how best we might approach this issue.

A compromise situation might well be achieved by my noble friend listening to this debate and saying that he will discuss these matters when we come forward with the regulations. I know that many noble Lords will think that you cannot do anything about regulations: they are laid before you and you can either vote for them or not. We are laying markers now and there are markers that people can lay. I am sure that all the lobby groups are lined up, ready to influence the Minister in this matter. There is time—is there not?—for us to make sure that we do not put right one problem and cause another to be set in stone against it. We need that flexibility and I hope my noble friend is listening to that, will heed what he is hearing, but give a commitment that he will consider these matters when he brings forward his regulations.

--- Later in debate ---

[Lord Freud]

My Lords, this is a really important point. It may very well be that the concern of the House actually boils down to a discomfort with the dividing line between severely disabled and disabled. If that is the case, the way to do it—and I pick up what my noble friend Lord Newton was saying—is not to look at aspect or concrete ratios but at the precise issue that noble Lords are actually worrying about, which is the relationship. I will commit to having a very close look at this. It is clearly tied up with DLA definitions, which are under constant review and are being reviewed.

If we move the children from DLA to PIP, we need to look at this and there will be a real consultation process. I will review this dividing line and look at that very closely, and when we come to the regulations on this, I will report back to noble Lords on exactly what we find. My sense is that this is the real issue underneath all this. I know noble Lords had to find an amendment that had to weave through, to express this concern, so we all know what is happening on a technical basis. Let us go to the real issue. The real issue is: are we getting the dividing line right? People ask me if I am listening—I hear what noble Lords are saying; this is what I think noble Lords are saying, and I will go and do something about that.

[Baroness Howarth of Breckland]

I do not think that is the whole issue that is concerning noble Lords. There is another issue, about the context. If you expect a single mum to get work in order to benefit from universal credit, you should go out on to the highways and byways with these women, as I do, and try to get a job. You need to be part-time, you need to work within certain time constraints, and you need to be able to get specialist childcare if you are going to go out. It is about more than being proportionate, it is about understanding the nature of life when you have a disabled child, however severely along the spectrum that might be, because some behaviour disorders, which sometimes can be assessed as reasonably manageable, can be extraordinarily difficult to get someone else to manage outside your family home. As I said to the noble Lord recently on another point, if you compare the unemployment figures and the numbers of part-time jobs with the number of those women who would like to work getting into those jobs, there is also that contextual issue that I am sure is concerning their Lordships.

[Lord Freud]

Not just your Lordships—I share those concerns, clearly. One of the things I have been trying to do is to really hone in on the help for people to get them into the right kind of work. We have now substantially rebuilt the payment by results element of Welfare to Work. That is not about saving money; it is about making sure that the support is very individualised for people. We will have the formal national statistics on this later this year, but the anecdotal feedback that I am getting from providers is that that individualisation of support for people is really beginning to work. That is a real issue that needs to be addressed. We need to support people back into the workplace when they can work, but we also need to get severely disabled children, who will move into adulthood still needing to be supported, to this higher rate and not have this cliff edge.

The blunt truth is that if we got rid of this cliff edge and maintained higher levels for less disabled children—that is the set of choices that we are playing with here—the cost would be £200 million a year. When things are better, I can quite imagine any Government being very keen to put money in that direction. However, as noble Lords will know, you get an amendment here and an amendment there and pretty soon the amounts add up in a way that really damages our national finances. We can blame the Treasury if we like, but that is a real constraint. We have already looked at amendments the proposals of which we have totalled up to cost in excess of £5 billion over five years, and just taking that on the chin and continuing to get rid of the cliff edge would cost another £200 million, as I said. Those are the choices. We have done a lot of soul-searching on this, and our view is that it is right and fair to align the extra amounts payable for disabled children and disabled adults.

I will close with two points. First, we are trying with the universal credit to bring coherence and simplicity to our benefit support for people. I cannot tell noble Lords how difficult that is to do in practice. I spend every moment of the day when I am not here with your Lordships trying to do that and wrestling with issue after issue. It is very simple; if you are asking someone a set of questions, when do they turn off? How many questions can you ask? You have to simplify the whole system. One thing that I have appreciated more than anything else in the weeks in which we have gone through this Bill is that this House has supported absolutely consistently the introduction of a universal credit. It has understood what we are trying to do and the pressure and the need for coherence and consistency, and I am really grateful for that support. I ask the House please to maintain that support now, especially as we have already voted on this principle.

Finally, I will pick up the point made by my noble friends Lord Newton, Lord German and Lady Thomas that this is a matter for regulations and not for primary legislation. Noble Lords have sent a very strong message to me and to the Government. I will look at this issue and we will be able to discuss it in our debate on the regulations.

Welfare Reform Bill

Baroness Howarth of Breckland Excerpts

Wednesday 25th January 2012 Lords Chamber

[Baroness Howarth of Breckland]

My Lords, I shall speak briefly, following the noble Baroness, Lady Tyler, who is about to follow me as chair of the Children and Family Court Advisory and Support Service. I speak as someone who has dealt over many years with some of the families who are in greatest conflict and need. The Minister will know that, of the families who separate, 10 per cent go to court. Those 10 per cent are the most difficult families. Often they are very close to families who come through public law, which are the families who really have child protection issues. However, we find in assessment that many of the families who come through private law divorce proceedings may well have these issues.

I agree that there is some need for reform. I welcome the money being put into relationship work and hope that some of that will find its way to CAFCASS, which does a great deal of that work with those difficult families. There is a proportion of families, though, where it is clear that the level of conflict between the families is detrimental so continued contact with both parents—judges have said this—may well not be the answer for those few children.

I am interested, as the noble Baroness is, in who is going to make that assessment and at what point the mother—it is usually a mother, although occasionally it is a father—will know that she is not going to have to continue to engage with an extremely aggressive and often destructive person who has damaged not only her own relationship but that of her children, and when she will be able to bypass all those procedures and be sure that she can actually get maintenance. The likelihood of the man giving her maintenance is slim, but she needs to be able to get by the procedures.

[Lord Mackay of Clashfern]

My Lords, it will be fairly obvious to most of your Lordships that these amendments are not entirely unrelated to the amendment that I am going to move in a little while. I am not certain of this, of course, but I have a feeling that the proposed amendments regarding the test for the discretion to be used have arisen out of discussions that I have had, which my noble friend Lord De Mauley has been at too, about the effect of the test in relation to charging. I will not elaborate on that now.

I would just be interested to know on what basis this test was originally put into the Bill. It must have been the subject of instruction; parliamentary counsel are extremely creative, but only on the basis of what they are asked to do. They are very good at finding words to express what you want. I wonder, and my noble friend may know the answer to this, what they were asked to do in the first instance. Does this reflect a change in the underlying request or not?

The third amendment concerns the review. That was certainly mentioned to me by the Secretary of State when I met him a week yesterday. I am entirely in favour of that. However, I suggested to him that it would be fair to do it on my basis and that that would be a real test of how good my suggestion was. However, it was suggested, “No, we will test it on my basis”—that is, on his basis. Therefore, from my point of view there is not much of an improvement as yet, but who knows what may happen? At present, the amendment is very welcome but, so far as I am concerned, it does not help me at all.

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[Lord Cormack]

My Lords, I, too, very much hope that the House will support my noble and learned friend. I hope that those on this side of the House who are inclined to support him will not consider that they are acting as rebels against the Government. This does not knock the central plank out of the Government’s Welfare Reform Bill, which I am proud to support. I listened to what my noble friend Lord Newton said on Monday and wish more noble Lords had heard it. He spoke eloquently in support of the principles of the Bill. His speech was widely and rightly commended. However, here we are dealing with something very different. We are not torpedoing the Bill. We are injecting a little bit of extra fairness into it.

The noble and learned Lord, Lord Morris of Aberavon, spoke as a former constituency Member of Parliament. I was in the other place for 40 years and saw countless women who came to me in great distress, who would have regarded a fee as a deterrent and who considered that this was further evidence that the system was against them. They often came in despair and because they were in true need; but also because the child for whom they were responsible, and for whom the father was responsible, was in need. We are talking here about children, who are not party to whatever dispute might have divided the marriage, relationship or whatever else. Saying to a woman who comes in distress and despair, “Fill in form X and pay your fee”, would be nonsense. What they need is help, contact with human beings—which is why I made my brief intervention on the Minister's speech a while ago—and support.

The noble and learned Baroness, Lady Butler-Sloss, was quite right to say that some people have no intention of owning up to their responsibilities and paying. The Government's general philosophy is one that I hope that most Members of the House can support. We all know that our welfare system is in need of overhaul and reform and it is a courageous act to face up to that. However, this does not mean that everything in the Bill is right, and this clause needs amending in line with what my noble and learned friend said. He is a man of infinite wisdom and great experience, and is held in the highest respect in all quarters of the House and all parts of the country. He is no rebel; he is a man of common sense and compassion and he deserves support.

[Baroness Howarth of Breckland]

My Lords, I will make a simple and straightforward intervention. I will not repeat what I said earlier, but the points I made then were pertinent. I wholeheartedly support the noble and learned Lord, Lord Mackay, and will make two points. It is right that when the noble and learned Lord brought forward legislation that separated maintenance from contact, it took us forward. However, the two things are not separate. A man—it is mainly men; only 3 per cent are women—may feel that he should have contact with his children despite the fact that he has been found not to be safe, not only in relation to domestic violence but to child protection issues. He may believe that he has a right to contact. However, if the court has said, “No contact”, he will definitely not feel that he has to make any payment whatever. One cannot separate the two issues.

I have one further question. Being of a practical turn of mind, I am still trying to work out how the system will proceed. There will be a telephone call with a human being. I do not know whether the human being will have any training or understanding of the issues; where they will come from; or what their background will be. These situations are extraordinarily complex. In the children and family court service, our staff make this kind of assessment when cases come through to ensure that there are no protection issues. They are our most experienced staff; not the least experienced or the clerical staff. Who will do that in future?

After the phone call, who will make a decision? What sort of assessment will be made, in cases of violent marital dispute and child protection, to determine whether someone has to pay? I have not gone into all the issues that were eloquently put forward by other noble Lords around the House about the justice of the matter. Women who may have been abandoned after horrific incidents with men will find themselves being held responsible. As the noble and learned Lord, Lord Mackay, said, this will not affect everybody but only that group. How will we identify them and who will make the assessment?

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[Baroness Howarth of Breckland]

My Lords, I find that surprising when, on a daily basis, the guardian ad litem in a court case can be expected to make similar sorts of judgments between two people as to whether contact should be awarded to one parent or the other. These are the same families, so surely there must be some way in which this kind of assessment could be made. Indeed, it has to be made because the noble Lord said previously that there would be some discretion in relation to marital violence and child protection. How are those assessments going to be made if no assessment is made at all?

[Lord De Mauley]

Perhaps the noble Baroness will permit me to come to her specific questions in a while.

My noble and learned friend proposes that this could be handled by allowing a CSA staff member to make what I am suggesting would be a subjective decision, and for that decision to be appealable. I ask your Lordships to consider whether legislation that confers on officials a subjective decision and then asks for an appeal system to police those decisions is the right way forward. It is not the Government’s position that that is the case. It would add to the costs for the taxpayer and complexity for parents and staff. One lesson we have learnt since 1993 is that legislation, with the best of intentions, will not work if it is highly complex or subjective in delivery. This approach with its subjective decisions and appeals again risks conflict, and surely none of that is in the interests of the child.

However, to offer your Lordships some views on the costs involved, we have also looked at an alternative approach to delivering the amendment. This would be based on a self-declaration from the applicant that reasonable steps had been taken. This is obviously a porous test that could be open to false reporting. Even then we estimate that the amendment would increase costs in the statutory schemes by over £200 million to the end of March 2019, making these reforms unaffordable. I hope that my noble and learned friend will therefore understand that, in our view, there is a tension at the heart of the amendment. It applies either a test we cannot police or a test that everyone can pass because we are not able to police it. Further, however the amendment is applied, it undermines the core of why we want to introduce charging. To reform the system and maximise the number of effective child maintenance arrangements, we must have an affordable but clear financial incentive on both parents to collaborate. We discussed in Committee what the noble Lord, Lord McKenzie, also mentioned, which is that the concept of charging was introduced in the 2008 Act.

Parents who can collaborate outside the statutory scheme will be provided with the help and support they require. Correspondingly, an application charge for all provides a clear incentive for parents with care to consider collaboration outside the statutory service, with all the benefits that has for children. Without a financial incentive in the form of an application charge, we risk recreating the CSA caseload we currently have, with parents using it despite ultimately telling us they could collaborate. The evidence is clear that we have a system at the moment where 50 per cent of parents using the CSA believe they could make a collaborative arrangement with the right support.

The ongoing collection charges will promote collaboration both outside and within the statutory scheme, and will create a real incentive in the non-resident parent to pay the parent with care direct, in full and on time. If, under Clause 135, the non-resident parent chooses to use this option, which is known as maintenance direct, neither parent will pay collection charges. Furthermore, the parent with care can be safe in the knowledge that if payments are not made, their case will be brought straight back into the full statutory enforced collection service.

The Government also believe that following the introduction of a demonstrably better future scheme it is fair to ask for a contribution to the costs of what, as I explained in the last debate, is a heavily subsidised service. To reiterate, I mentioned that the cost of a typical CSA case is up to £25,000, and that can rise to £40,000 where we need to take substantial enforcement action. It is a system that on average costs around 40p to move every £1 between parents. Furthermore, we will not start collecting charges until the scheme has been running for at least six months to allow the new system to demonstrate that it is delivering an improved service for parents.

We have had a fairly spirited debate on the principle of charging. However, I hope that noble Lords will reflect on the principles I have described and the assurances I have given. We do not want to return to the days when the state was encouraging parents to blame each other since we know that is the worst thing for children. We have a coherent package of reforms starting from a very different place to the 1993 CSA, and charges have a role to play within it.

I turn now to the questions raised by noble Lords. I shall paraphrase what my noble and learned friend said: “I do not want an adjudication. I just want a test of whether the father will pay”. I accept the intentions of my noble and learned friend, but his plan is for a letter to be sent to the father to ask if he will pay outside the scheme. That would be costly and complex. We have over 100,000 applications each year, and the most difficult element is finding the father. Mothers often do not have the father’s latest address, and often that is not the father’s fault, so importing the trace aspect of the application is costly and complex, and will delay us being able to start to process applications for those who need it most.

My noble and learned friend referred to Henshaw’s intentions. The Government agree that we do not want to dissuade those who need it from accessing the scheme. That is why we are carefully considering the level of the charge. But Henshaw was clear in recommending that charging should be introduced to users of the administrative scheme because it,

“would contribute to the objectives of the new system by incentivising private arrangements”.

The noble Baroness, Lady Howarth, asked a number of searching questions. She referred to the risk of the non-resident parent demanding contact as a condition of maintenance. That is a key part of what we have been addressing and we agree entirely with her. If a case enters the system we will use data, for example, from HMRC. There will be no need to obtain this direct from the non-resident parent. A calculation will be made based on that data and he will be required to pay, if necessary by order on his bank account or from his benefits. There will be no requirement, particularly for victims of domestic violence, to have any contact or to reveal their contact details.

The noble Baroness asked about the people who take the calls. Advisers will be using training which has been developed with the input of a large number of voluntary and community experts. Self-declaration of domestic violence will be sufficient, and no application charge will need to be paid. The noble Baroness also asks who will arbitrate on whether the non-resident parent has to pay. What I am trying to get across is that there will be no need for arbitration. The non-resident parent will have to pay based on the calculation. She intervened to ask about discretionary decisions. As I have said, there are around 100,000 applications each year and the nature and scale of the judgments are issues which, I am afraid, fundamentally flaw the amendment.

I am grateful to my noble friend Lady Berridge for her intervention, and of course I contend that she is absolutely right. I do this with trepidation, but I ask my noble and learned friend to consider withdrawing his amendment.